On May 16, 2025, Abu Dhabi’s Masdar, a clean energy leader, secured $1 billion through its third green bond, pushing its total green bond funding to $2.75 billion since 2023. The bond, split into two $500 million tranches with 5-year (4.875% coupon) and 10-year (5.375% coupon) terms, was a hit, drawing $6.6 billion in orders—6.6 times oversubscribed. This frenzy, with 85% of funds from international investors and 15% from the MENA region, gave Masdar its tightest pricing spreads ever, signaling strong trust in its green vision.

What’s the Money For?

The cash will fuel new “dark green” renewable energy projects—think solar, wind, green hydrogen, and battery storage—under Masdar’s Green Finance Framework, updated in March 2025 to include hydrogen and storage.

CEO Mohamed Jameel Al Ramahi said the funds are key to hitting Masdar’s goal of 100 gigawatts (GW) of renewable capacity by 2030, up from 51 GW across 40 projects in 18 countries.

Read more: The Nuclear Company Secures $51M to Build Big Reactors

Why It’s a Big Deal?

Masdar’s not just tossing out solar panels. It’s a global heavyweight, backed by UAE giants TAQA, ADNOC, and Mubadala, and its bonds earned top marks—AA- from Fitch and A1 from Moody’s—plus a rare SQS1 sustainability score from Moody’s.

CFO Mazin Khan called it “sustainable finance on an industrial scale,” with every dollar tracked to ensure it’s greening the planet.

The bond’s success, with green funds and big institutions piling in, shows investors are all-in on Masdar’s plan to triple renewable capacity by 2030, aligning with COP28 goals.

This isn’t Masdar’s only flex. In 2024, it nabbed $6 billion in non-recourse financing for 11 GW across 12 projects in nine countries, from Spain to Kazakhstan. It also bought Greece’s Terna Energy for €2.4 billion and partnered with Endesa in Spain for 2.5 GW of solar and storage. These moves cement Masdar as a clean energy titan, especially as global green bond issuance hit $550 billion in 2024, with Masdar driving over 20% of MENA’s share.

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The Catch

It’s not all sunny skies. Scaling to 100 GW by 2030 means navigating tricky markets, from regulatory hurdles in developing nations to competition with cheaper fossil fuels in some regions. Plus, green hydrogen and battery storage are still pricey and tech-heavy, which could slow things down.

What’s Next?

Masdar’s eyeing more deals, like its $15 billion pact with the Philippines for 10 GW by 2035 and a Kazakhstan partnership for wind and storage. With green bonds now a core funding tool, expect more issuances—Masdar’s hinted at a $3 billion program. As 83% of global investors prioritize ESG (per a 2024 BCG report), Masdar’s transparent, high-impact bonds are a magnet for cash. By 2030, it aims to not just hit 100 GW but also produce 1 million tonnes of green hydrogen, reshaping energy from Africa to Asia.

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